The government says that the GDP is targeted for growth of 7.5% and that CPI is targeted at 3.5%.

The GDP number is the same as last year's target and it was about as expected.

The good news is that Chinese GDP will keep humming along.

The bad news is that by setting a target for GDP that's so high, they're not leaving themselves any room to reform the economy, as CNBC's Deirdre Wang Morris explains.

Remember, China is trying to steer its economy away from export and investment-led growth to more consumption driven growth.

"China will continue to implement a proactive fiscal policy and a prudent monetary policy," Xinhua reported citing a government work report to be delivered by Premier Li Keqiang at the National People's Congress.

The one interesting thing to note, is that officials are trying to address the overcapacity problem that resulted from China's investment boom.

Wang Morris pointed out that targets for cutting capacity will be brought forward a year ahead of schedule. She said this included shuttering 50,000 small coal-fired industrial furnaces and cutting steel and cement capacity.

China announced a string of reforms during its third plenum in November and the Economic Work Conference in December.

Markets will be watching for more details on reforms surrounding local government debt, state-owned enterprises (SOEs), and environmental reforms.

See Also:

Chinese Corporations Should Get A Nice Bump In Profits Because They Can't Bribe Politicians AnymoreWe Should Be Nervous If China's Leaders Actually Believe What They're SayingThe Chinese Yuan Continues To Weaken — Here's What To Make Of It